Nigeria’s $74 bn Livestock Ambition at Risk of Repeating Ajaokuta Failure, Warns Ex‑OPS Chief

Nigeria's substantial ambition for its livestock sector faces a significant warning from a prominent business figure. Barr. Dele Oye, immediate past National President of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), delivered this caution at the 2026 Vanguard Economic Discourse. His remarks centered on the potential for the sector's $74 billion target to falter, drawing parallels to the long-stalled Ajaokuta Steel Company project. The Ajaokuta Steel Company, a government-initiated industrial endeavor, has consumed billions of dollars over decades without reaching full operational status. It stands as a symbol of challenges faced by state-operated businesses.

The Nigerian livestock sector aims to grow its annual contribution to the nation's Gross Domestic Product (GDP) from $32 billion to $74 billion by the year 2035. This target highlights the sector's projected economic importance and potential for wealth creation. In March 2026, the federal government, alongside private sector partners, launched a $50 billion investment initiative specifically designed to achieve this expansion. This public-private collaboration underscores the scale of resources directed towards the sector. However, Oye contends that "when government tries to operate businesses, disaster follows," directly addressing the modalities of this new investment.

Oye's warning frames the success of the livestock initiative within the context of government engagement. He suggests a pattern where direct government operation of businesses leads to inefficiency and failure, citing examples like Ajaokuta. His paper, titled ‘The government as facilitator, not operator: a new paradigm for Nigeria’s livestock industry’, advocates for a clear distinction in roles. For the $74 billion vision to materialize, the government's primary function should be to create an enabling environment, providing policy, infrastructure, and regulation, rather than managing day-to-day operations. The challenge for the new $50 billion investment will be to define and execute these roles effectively, learning from past national projects.

Stakeholders will closely observe the implementation framework of the $50 billion livestock investment, particularly the defined operational responsibilities between government agencies and private sector partners.